Genesis Capital, a leading private equity firm in the Czech Republic, expanded its investment portfolio with another acquisition. Its GPEF II Fund completed a leveraged buy-out of a 66% stake in the Brno-based company AZ KLIMA s.r.o., one of the national leaders in the field of air-handling solutions.
The GPEF II Fund acquired majority in AZ KLIMA by buying out stakes from the founders and current owners of the Company, Miroslav Čížek and Jaroslav Jánský. While Miroslav Čížek retained a 30% stake in the Company and will remain responsible for the strategic management, Jaroslav Jánský sold his full stake. Karel Břenek, one of the Company’s most experienced managers, was appointed the new CEO.
“AZ KLIMA is an established company with a stable market position, outstanding financial situation and potential for further growth. The planned add-on acquisitions can also contribute to this growth. Further acquisition activity can target direct competitors in the field of air-handling as well as companies involved in electrical wiring, deliveries of heating and security systems and other services in the field of building services engineering,” explained Jan Tauber, Managing Director of Genesis Capital.
“AZ KLIMA strives to remain a leader on the market. We will utilise the capital potential provided to us by the partnership with the GPEF II Fund for our further development. To our business partners, we remain a clearly perceptible company that always keeps its word,” added Karel Břenek, CEO of AZ KLIMA.
AZ KLIMA has a registered office in Brno and a manufacturing complex in Milovice near Mikulov in South Moravia. It operates also a subsidiary in Bratislava, Slovakia. In 2010, the Company with 160 employees reported consolidated revenue of 443 million crowns.
For more than ten years, Genesis Capital has been offering financing to small and midsize companies in the Czech Republic and Slovakia, to support their growth and development. Via its private equity funds, Genesis Capital has already supported more than twenty dynamic Czech and Slovak businesses, many of which have become cutting edge in their chosen field, thanks to their relationship with Genesis Capital. In total, Genesis Capital has provided more than 2 billion Czech crowns in growth capital for companies in the Czech Republic and Slovakia.
Since its inception in 1999, Genesis Capital has managed three private equity funds with a total volume of almost € 100 million. The first two funds have already fully committed their capital. At present, Genesis Private Equity Fund II, with a volume of € 40 million, is open and available to finance prospective investments. The companies into which Genesis Capital has invested include AB Facility, pietro filipi, CCS, ETARGET, Gumotex, Energetické strojírny Brno, Roltechnik, Profimedia, Vydis, GTH CATERING, and others.
In the present environment, marked by difficult access to standard bank financing for small and medium-sized enterprises, Genesis Capital funds provide an advantageous alternative for acquiring the required capital for companies with growth potential; the funds also focus on buy-out financing. Their investors include the European Bank for Reconstruction and Development, Česká spořitelna, and the Belgian investment company Gimv.
AZ KLIMA s.r.o. was established in 1992, its rapid development occurred primarily after 1994, when it took over the Potrubí Milovice enterprise. AZ KLIMA assures complex services in the field of technical equipment of buildings and realizes production and delivery of air-handling and cooling equipment for constructions, which serve for administration, business, production, health services, board, culture and sport. Major products are steel ducts, air-handling accessories and air-handling units. The Company also provides a full range of accompanying services including project documentation, item budgets draw-ups and assembly services, as well as guarantee and after guarantee service. In 2011 AZ KLIMA was ranked among the TOP 10 small and medium enterprises of the City of Brno.